Acosta Finds the Health of Health & Beauty Care in Grocery is on the Mend

JACKSONVILLE, Fla.–(BUSINESS WIRE)–After years on the decline, the health of Health & Beauty Care (HBC)
sales at grocery stores is showing signs of life, according to a new
research study from Acosta.
Grocery stores only capture about 18 percent, or $15 billion, of the
staggering $84 billion annual spend in the HBC category, but Acosta’s Health
of Health & Beauty Care in the Grocery Channel Hot Topic Report
signals an emerging trend reversal with more consumers purchasing HBC
products during routine grocery shopping trips instead of in other
channels.

“Health & Beauty Care represents a significant revenue opportunity
across the board, and grocery stores are seeing an increasingly larger
share of those dollars. There’s no question that the health of HBC at
grocery is improving,” said Colin Stewart, Senior Vice President,
Acosta. “With consumers frequenting grocery stores eight or more times
per month, the opportunity is ripe for grocery retailers to capture
those shoppers in store and convert them into ‘VIP’ HBC shoppers.”

One-third of U.S. shoppers buying HBC items online plan to make more
online purchases in the coming year. Almost half of Millennial
shoppers buying HBC items online agree.

Forty percent of U.S. shoppers buying HBC online are using Amazon and
mass merchant websites.

“Facing fierce competition, retailers must craft tailored strategies to
appeal to and convert these valuable HBC shoppers. Matching these
strategies — from assortment to pricing and in-store merchandising —
with the top HBC categories that account for the majority of sales will
be a winning combination,” concluded Stewart.

The Health of Health & Beauty Care in the Grocery Channel was
completed using research conducted by Acosta, as well as the company’s
experience working with the nation’s largest CPG manufacturers and
retailers. To access the full report, visit www.acosta.com/hottopicreports.

About Acosta

Acosta
is the sales and marketing powerhouse behind most of the trusted brands
seen in stores every day. The company provides a range of outsourced
sales, marketing and retail merchandising services throughout the U.S.
and Canada. For more than 85 years, Acosta has led the industry in
helping consumer packaged goods companies move products off shelves and
into shoppers’ baskets. For more information, visit www.acosta.com.